New York pauses its landmark gas ban in new buildings

New York just slammed the brakes on rules that would’ve prohibited fossil fuels in new homes and businesses.

The Empire State was on the precipice of fully enacting the All-Electric Buildings Act that Democratic Gov. Kathy Hochul signed in 2023. The first-in-the-nation standard requires most new buildings to install efficient, electric appliances such as heat pumps instead of health-harming gas, propane, and fuel-oil systems. Regulators finalized the rules in July; they were set to take effect Dec. 31.

But on Wednesday, the state agreed to not enforce the zero-emissions standard until the Second Circuit U.S. Court of Appeals makes its decision on a two-year-old lawsuit challenging the All-Electric Buildings Act. Climate-advocacy nonprofit Earthjustice expects that’ll delay the landmark building code until at least the fall of 2026, as oral arguments have yet to be scheduled.

The legislation ​“was a promise that New York would stop locking families into expensive, polluting fossil-fuel systems and start building for the future,” said Democratic Assemblymember Gabriella Romero on a Thursday call with reporters. ​“Delaying this law is a total betrayal of that promise.”

Putting the all-electric building code on ice is an abrupt about-face for the administration. On Oct. 1, the state filed a brief saying that New Yorkers would ​“suffer irreparable harm if the Code amendments are delayed from taking effect,” because it would allow new buildings to depend on fossil-fuel equipment that would generate greenhouse gases and local air pollution for decades to come. That, in turn, would drive up the health, agriculture, and broader economy costs imposed by worsening climate catastrophes.

But just over one month later, Hochul signaled openness to pausing the law after a group of 19 Democratic state legislators raised concerns about its affordability and impact on the grid. Multiple studies have found that the grid has ample room for all-electric new buildings, and making them the default would benefit the planet and people’s pocketbooks.

Hochul’s office has positioned the delay as a pragmatic step that could expedite implementation of the rule in the long term. By voluntarily pausing the law, Hochul may be trying to avoid a potentially multiyear holdup should the case reach the U.S. Supreme Court and get on its ​“shadow docket.” That emergency process is typically less transparent than the court’s usual decision-making protocol.

“The Governor remains committed to the all-electric-buildings law and believes this action will help the State defend it, as well as reduce regulatory uncertainty for developers during this period of litigation,” Ken Lovett, energy and environment spokesperson for Hochul, told Canary Media. She’s ​“resolved to providing more affordable, reliable, and sustainable energy for New Yorkers.”

Earthjustice argues that there’s no reason to expect that the groups challenging the law would’ve been able to hamper its implementation if the state hadn’t made the concession itself.

The plaintiffs in the case — including the New York State Builders Association, National Association of Home Builders, and National Propane Gas Association — allege that the federal Energy Policy and Conservation Act preempts the all-electric buildings law. That same reasoning was used to overturn Berkeley, California’s pioneering gas ban. In July, New York prevailed when a federal district judge in the state rejected the argument.

Similar lawsuits are playing out in courts around the country, including a challenge to New York City’s own all-electric-buildings standard, which has been in effect since 2024.

Hochul’s decision to slow-roll building electrification is part of her administration’s realpolitik embrace of fossil fuels. Last Friday, New York regulators signed off on a Trump-backed underwater gas pipeline, after having denied the requisite permits three times before. The same day, her administration announced a deal to allow a gas plant that mainly powers cryptocurrency mining to keep operating for at least five years. She also has yet to sign a bill that repeals gas-hookup subsidies. Legislators passed it in June.

Hochul justified recent moves by saying the state needs to ​“govern in reality.”

“We are facing war against clean energy from Washington Republicans, including our New York delegation, which is why we have adopted an all-of-the-above approach,” she said last week in a statement.

Democratic Assemblymember Sarahana Shrestha said she’s deeply concerned about the administration’s trajectory. Reducing the lethal and expensive harms born of the climate crisis ​“is not an optional goal,” she said. ​“Really, we’re talking about a disruption to our economy if we don’t act — in the same way the pandemic disrupted our economy.”

‍